Taiwanese integrated circuit (IC) distributor Weikeng projects robust revenue growth driven by rising demand for AI data center computing and power management solutions, with AI server-related products expected to increase by 50 to 60% in 2026. The company also identifies emerging sectors such as AI glasses and robotics as key long-term growth areas, despite uncertainties in broader memory market dynamics.

AI data centers are seeing rapidly increasing demand for HPC and big data processing. The shift from traditional copper wiring to fiber optics boosts data transfer rates while lowering power consumption. Gallium arsenide (GaAs) epitaxy maker Visual Photonics Epitaxy Co. (VPEC) stated that while the smartphone market in 2026 is expected to remain flat or show slight growth, rising transmission efficiency requirements in AI data centers will drive planned equipment purchases and expanded capacity, making data centers the company's main growth driver for 2026.

As AI compute hubs expand rapidly, data center power demand is rising fast. AI servers are being redesigned across cooling, power and resilience, especially in HVDC, modular power systems and backup architectures.

Amid the global AI surge, Lens Technology acquired PMG International to gain a 95.1% stake in Yuans Technology, an Nvidia-certified supplier specializing in liquid cooling and server racks. This strategic move enhances Lens's capabilities in AI server hardware, complementing its consumer electronics expertise.

Foxconn signed a development agreement with the Kaohsiung city government on December 12 to advance the Y15 mixed-use project along the city's MRT Yellow Line. The company will invest NT$15.9 billion (US$509 million) to build a new flagship headquarters in the Asia New Bay Area as it deepens its long-term commitments in southern Taiwan.

Joinsoon Electronics Manufacturing, a manufacturer specializing in connectors and cable assemblies, reported progress in transforming its business model, driven by demand in AI servers and advancements in high-speed transmission standards. These factors are expected to be key growth contributors by 2026.

J&B International has initiated operations at its new Vietnam factory, shifting the site from Binh Phuoc to Dong Nai Province. CEO Clive Hsiao said the land purchase and plant design are complete, with environmental reviews underway. Construction is expected to start soon, targeting completion by end-2026 and trial production in first quarter 2027.

Optical communication module manufacturer PCL Technologies has forecasted continued strong expansion in the global data center market, propelled by artificial intelligence advancements. The company highlighted growing demand for high-speed optical interconnects reaching 800G, 1.6T, and even 3.2T generations.

While Taiwanese manufacturers historically held little sway in conventional industrial robotic arms, the AI robot era—exemplified by humanoid robots—is seen as a distinct track with promising opportunities for Taiwan's supply chain. This shift explains why China and the US have surged ahead, while Japan, once dominant in robotics, has largely fallen silent.

The Mexican Senate has approved legislation raising import tariffs up to 50% on countries without free trade agreements with Mexico, affecting nations such as China, India, South Korea, and Thailand. Foxconn's rotating CEO, Kathy Yang, indicated the overall impact on the company is limited.

Taiwan's leading telecom operators—Chunghwa Telecom (CHT), Taiwan Mobile, and Far EasTone (FET)—each reported revenue growth for November 2025. The sustained popularity of Apple's iPhone 17, combined with the Singles' Day shopping festival and government cash handouts, drove positive momentum across their core telecom businesses.